Garuda Indonesia faces major headwinds even after restructuring

FILE PHOTO: A plane belonging to Garuda Indonesia is seen on the tarmac of Terminal 3, SoekarnoÐHatta International Airport near Jakarta, Indonesia April 28, 2017. REUTERS/Darren Whiteside/File Photo/File Photo

Garuda Indonesia CEO Irfan Setiaputra was optimistic after winning overwhelming approval from creditors for a plan to restructure billions of dollars in debt. And while the state-owned airline may have averted bankruptcy, it still faces huge challenges.

Setiaputra set the bar high after Garuda got far more than the two-thirds support it needed, saying the result shows the “high trust” investors have in the company and vowing a fast return to profitability.

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